Starters Riverport on verge of closing

The South Side restaurant and sports bar will remain open as a new tenant is sought.

Local sports fans hang out at Starters Riverport in Bethlehem to watch the… (KEVIN MINGORA, THE MORNING…)

January 22, 2013|By Matt Assad and Nicole Radzievich", Of The Morning Call

Starters Riverport, the Lehigh Valley's largest restaurant and an early linchpin in south Bethlehem's revitalization, could be closing soon.

Riverport has for years been one of the Valley's busiest sports bars, but a down economy has made it difficult to fill the nearly 500-seat, 70-screen venue most nights, so owner Dave Rank is looking for a new tenant that can make better use of the massive space.

He expects Starters Riverport to be open for Super Bowl Sunday — the Christmas of the sports bar calendar — but how long it remains open after that could depend on how fast he can find a new tenant.

His smaller Starters restaurants on Route 378 and at the Bethlehem Golf Club will remain open, and so will Riverport, at least until he finds a new tenant, he said.

"The Starters name will live on. In fact, we're looking to open smaller Starters venues around the area," Rank said. "But we're looking to go away from the size of Riverport, so we're looking at transitioning Riverport into another use."

Building owner Lou Pektor said he's been trying to find a replacement for several months.

"Dave has run a very strong business there for years, but the uncertainty over its future has forced me to aggressively look for a new tenant who will appreciate what a great location it is," Pektor said. "It's becoming clear that we may need an alternate user."

Rank said he's had a lot of interest and is hoping to have a decision on Starters Riverport's future as early as the end of the month, though it could take as long as 60 days, he said.

Pektor, whose Riverport LP owns the 23,000-square-foot restaurant property and the adjacent Steel Fitness, said he's looking for a regional or national theme restaurant operator, such as Dave & Busters or Chickie's and Pete's, to take over the space. He's also trying to recruit other types of users including a banquet facility operator or a gourmet foods grocery that would include a restaurant and take-out orders, such as a Whole Foods Market.

Riverport's uncertain future is a harsh reminder of the toll the down economy has had on some businesses. With more screens than most bars have seats, Starters Riverport was for years the Valley's busiest sports bar — and that's exactly what Pektor, Rank and city officials expected when it opened in 2006.

The Lehigh Riverport project was heralded as a major redevelopment piece on the South Side's western end and was one of the first major reuses of a former Bethlehem Steel building.

Before the Sands casino arrived to develop the Steel lands, Pektor snapped up the old Johnson Machinery building at the southern end of the Fahy Bridge on W. Second Street. He courted government grants and tax credits, investing $30 million in the property and rehabilitating it to its original standards.

The housing market was still rising as he developed 172 condominiums, a fitness center and Starters sports bar, all attached to a 412-spot metered garage operated by the city's parking authority.

Joseph Kelly, city director of community and economic development, said he was disappointed to hear talk of Starters leaving the Riverport, but said another user can be found for such a historic location.

"That project remains significant. It's a 198,000-square-foot old steel machine shop built in 1941, adaptively reused through a good public-private partnership, " Kelly said. "Starters was a good fit there, but if it leaves, I'm confident we'll be able to fill the space."

City Councilman David DiGiacinto, chairman of the Community Development Committee, said the spot has more potential than just restaurant or bar space but has to be compatible with the residences there.

"I think it could be a great spot for a small business that has graduated from the incubators," DiGiacinto said. "It would be great extension from the tech centers on the other side of the bridge."

When it opened, the restaurant instantly became the largest in the Valley, with dining room seating for 478, a game room and bar wrapped around walls of large-screen televisions. It became the flagship of a regional chain that includes Starters Clubhouse Grille at the Bethlehem Golf Club and Starters Pub on Route 378 in Lower Saucon Township

But as Rank attempted to offset the recession with dance parties, the bar became the subject of police calls, drawing at least 68 in the last two years, according to the city police last summer. In 2010, a near riot began on the second floor, sending one security guard to a hospital for a cut on his head. And last year, a man was charged with firing a handgun in the parking garage.

City police last summer testified before the Pennsylvania Liquor Control Board about their response to calls about Starters. The renewal of its liquor license came up at a Dec. 5 meeting of the LCB, and an agency official said a conditional renewal is being negotiated.

Rank told The Morning Call in August that he'd adopted several safety measures and shifted the focus to the restaurant, which added new menu items and activities such as bingo and trivia nights.

Monday he said his liquor license is current and the LCB review played no role in his decision to downsize and seek a new tenant.

The public investment in Lehigh Riverport includes $2.5 million from the state and $1 million from Northampton County to pay for the garage. Pektor's Ashley Development also received federal historic tax credits.